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A two roll system has some disadvantages in that it requires more work in the

preparation of a tax notice and assessment notice, it will mean that two sets

of assessed values will appear on each property assessment notice. These are

only administrative problems and I think they can be overcome and explained

to the public.

The biggest problem with the two roll system has to do with the anticipated

Provincial grants for sewage
pays alli the costs in excess

sewage treatment facilities.

treatment.

The Provincial Government presently

of a two mill levy for the capital cost of providing

There is an example in the attached report illustrat-

ing the effect on grants if we go to a two roll system. The effect is possibly

not as great as the illustration portrays as it was based on estimates received

from the Sewage Board and we are finding that our actual costs are below what

their estimates were. Also the costs being incurred are behind their original

construction schedule therefore the combination of all these factors plus the

fact that our mill is increasing in value is in effect reducing the maximum anount

that we are likely to recover by way of grants from the Province. I am not able

to get an accurate forecast of costs and probable grant recoveries from the

Sewage District.

In spite of the foregoing the pressure of mill rate limitations has been giving

the Finance Committee considerable amount of concern. The 1973 budget can be

completed within the legal mill rate limit of 50 milis however I do not want to

take a chance for a future year in having Council faced with the problem that
the budget cannot be carried out within the legal mill rate limits. In view of
the length of time it takes to switch over to the two roll system I feel that

the matter must be considered now and a decision made to enable the Assessment

Department to proceed with the necessary administrative changes.

I would therefore recommend that Council authorize the Clerk to prepare the
necessary by-law to establish the separate roll for general purposes and that the

change be brought into effect for the 1974 assessment roll. If Councti wish any

further information on this

matter I would be prepared to discuss it further.